A pedestrian passes a Nestle S.A. logo at the Nescafe factory in Tutbury, U.K. The food and drink giant's U.S. unit plans to close a Plymouth facility and eliminate 57 jobs there by the end of the year.

Nestlé USA Inc. and its Nestlé Dreyer's Ice Cream Co. plan to shut down a facility in Plymouth by the end of the year, eliminating 57 jobs.

The U.S. unit of Swiss food and drink giant Nestlé S.A. expects to close its Plymouth site at 45667 Port St. by Dec. 31, according to a notice the company filed with the state of Michigan.

It expects layoffs to start Nov. 1. Employees work in sales and delivery and aren't represented by a union, the notice said.

Nestlé and Dreyer's are also eliminating 126 jobs in Wisconsin and closing two facilities there, the Milwaukee Journal Sentinel reported. The Indianapolis Star also recently reported the coming closure of an Indianapolis Nestlé center and 172 expected layoffs.

Nestlé announced in May it would dismiss 4,000 employees in its move to shut down direct-to-store delivery for products such as DiGiorno and Skinny Cow, Bloomberg reported, because it was too expensive. It already ships to warehouses for other products, including Hot Pockets.

The operation encompasses 230 facilities, 1,400 trucks and 2,000 routes. The layoffs represent approximately 8.3 percent of the U.S. unit's workforce.

Direct shipping to retailers used to be a common practice, but it is lessening as food companies aim to cut costs.

Exiting the more direct model "will increase Nestle's flexibility to adjust its U.S. frozen food business with possible further divestments" in 2020, which could include ice cream brands Dreyer's and Edy's, MainFirst analyst Alain Oberhuber said in a note to Bloomberg on Wednesday.